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Motor Fuel Distributor License

Before commencing business, on application, a distributor shall first procure a license from the Commissioner permitting him or her to continue or to engage in business as a distributor. Upon approval of the application and bond (see bond requirements below), the Commissioner shall issue to the distributor a nonassignable license which shall continue in force until surrendered or revoked.

Every distributor or dealer, on or before the 25th day of each month, shall file with the Commissioner a report for the preceding month. The report shall be filed even though no fuel was sold or delivered.

Motor Fuel Surety Bond Requirements:

The amount of surety bonds required shall be reviewed annually in September. If the Commissioner retains or reimposes a bond requirement, the amount required shall be the sum of the highest two months’ payment during the preceding year or $1,000.00, whichever is greater, but in no case shall it exceed $700,000.00.

A distributor may request release or reduction of the bond if the distributor has complied with all licensing and reporting requirements for at least the last three consecutive years. If the Commissioner determines that release or reduction of the bond will not unreasonably jeopardize State revenues, the bond shall be released or reduced.  Upon a finding to the contrary, the Commissioner shall retain the bond. 

FAQs

If you are the only company that makes deliveries to a customer, do we need to track all individual delivery or just the total gallons delivered throughout the month?

No, you must also report who the fuel was purchased from and where the fuel was received from.

If I begin filing a return and it isn’t completed, is it saved?

If you are logged in and begin filing a return, click the ‘Save Draft’ button at the screen's bottom-left. Once you are ready to submit the return, go into your Action Center, click ‘View Submission’ with the corresponding return, and click ‘Continue Editing.’

If you are a business that is not located in Vermont, but you do business in Vermont, do you file differently?

No, You will file the same way as Vermont-based businesses.

Why is it asking to attach schedules when filing my Fuel return?

To use myDMV to file Fuel tax returns, taxpayers must upload their schedules using Excel or XML templates. The templates can be found on the Fuel Tax page.

If you do not have Microsoft Excel, Google Sheets can be used for free to produce schedules in Excel format.

How do I register a new business?

For any of the following account types, click on the ‘Register a Business’ link under Business Account Access from the myDMV homepage:

  • Fuel Tax Account
  • IFTA Account
  • IRP Account
  • Railroad Tax Account
  • Rental Tax Account
TAGS:
Fuel Tax